An Alternative Approach to Distinguishing Liabilities from Equity

Goods And Services ◽

Alternative Approach ◽

Fundamental Distinction ◽

External Capital

In response to a longstanding debate within the accounting profession on how to clearly distinguish liabilities from equity, we offer an alternative liability-equity classification scheme (the "Earned Capital Approach") in which capital acquired in exchange for issuing claims ("external capital") is classified as liabilities and capital acquired in exchange for providing goods and services ("earned capital") is classified as equity. The Earned Capital Approach differs from the approach underlying current financial reporting standards in that it is based on a fundamental distinction between the firm and its claimants rather than a distinction between types of claimants (e.g., owners versus creditors). In this paper, we summarize the accounting profession's ongoing attempts to distinguish liabilities from equity and discuss the conceptual underpinnings and financial reporting implications of the Earned Capital Approach.

The Convergence of International Financial Reporting Standards in China: A View on the Influence of Political Ideology on Chinese Accounting Profession

WTO Accession and Socio-Economic Development in China ◽

10.1016/b978-1-84334-547-3.50008-4 ◽

2009 ◽

pp. 135-147

Author(s):

Zhang Ying ◽

Jane Andrew ◽

Henry W. Collier

Keyword(s):

Financial Reporting ◽

Political Ideology ◽

Reporting Standards ◽

Accounting Profession ◽

Financial Reporting Standards

Alternative Approach to Accounting of Business Reputation of Organization

Auditor ◽

10.12737/14189 ◽

2015 ◽

Vol 1 (10) ◽

pp. 42-49 ◽

Cited By ~ 1

Author(s):

Климашина

Keyword(s):

Financial Reporting ◽

Reporting Standards ◽

National Accounting ◽

Alternative Approach

The article reveals and proves the author’s approach to the accounting of business reputation of organization, which makes an alternative for the generally accepted methodology of the accounting of goodwill produced by requirements of international and national accounting and financial reporting standards.

A Framework for Financial Reporting Standards: Issues and a Suggested Model

Accounting Horizons ◽

10.2308/acch.2010.24.3.471 ◽

2010 ◽

Vol 24 (3) ◽

pp. 471-485 ◽

Cited By ~ 21

Author(s):

James A. Ohlson ◽

Stephen Penman ◽

Robert Bloomfield ◽

Theodore E. Christensen ◽

Robert Colson ◽

...

Keyword(s):

Conceptual Framework ◽

Financial Reporting ◽

Accounting Standards ◽

Reporting Standards ◽

Suggested Model ◽

Model Framework ◽

Alternative Approach ◽

Alternative Approaches ◽

Framework Document

SYNOPSIS: This paper addresses the issues that confront the FASB and IASB in developing a new conceptual framework document. First, we suggest characteristics that a conceptual framework ought to exhibit. Most of these suggestions are based on our critique of the existing framework and the FASB-IASB work in progress. Second, we present a model framework that exhibits these characteristics. We emphasize up front that this framework is quite explicit. It goes to the heart of what a framework document should do: it places specific restrictions on what constitutes admissible accounting standards. The purpose of our effort is to stimulate broad discussion of alternative approaches to foundational documents and to offer a specific example of such an alternative approach.

Advances in Finance, Accounting, and Economics - Economics and Political Implications of International Financial Reporting Standards ◽

International Financial Reporting Standards (IFRS) Adoption in Vietnam

10.4018/978-1-4666-9876-5.ch013 ◽

2016 ◽

pp. 266-281 ◽

Cited By ~ 2

Author(s):

Duc Hong Thi Phan ◽

Mahesh Joshi ◽

Bruno Mascitelli

Keyword(s):

Strategic Planning ◽

Financial Reporting ◽

Response Rate ◽

Sample Survey ◽

Reporting Standards ◽

Accounting Profession ◽

Ifrs Adoption ◽

Practical Implications

The chapter is aimed at analyzing the collective perception of the accounting community of Vietnam towards the adoption of International Financial Reporting Standards (IFRS). This perception is premised on the twin issues of legitimacy and isomorphism. A broad sample survey of 728 persons out of 3000 accountants, auditors and academics was undertaken with a detailed questionnaire sent to each. With a net response rate of 24 per cent from this community, there emerged a definite influence of coercive, mimetic and normative isomorphisms as well as legitimacy motives. The study provides practical implications for the policymakers of Vietnam for the transformation of the accounting profession in the country and the strategic planning towards full mandatory IFRS adoption by 2020.

An assessment of the challenges of adopting and implementing IFRSS for SMEs in South Africa

Problems and Perspectives in Management ◽

10.21511/ppm.14(2-1).2016.10 ◽

2016 ◽

Vol 14 (2) ◽

pp. 212-221 ◽

Cited By ~ 1

Author(s):

Sikhwari Rudzani ◽

Manda David Charles

Keyword(s):

South Africa ◽

Financial Performance ◽

Financial Reporting ◽

Financial Statements ◽

Limpopo Province ◽

Reporting Standards ◽

Accounting Profession ◽

Vhembe District

The purpose of this study is to assess the challenges faced by small and medium sized enterprises (SMEs) in adopting and implementing International Financial Reporting Standards (IFRS) for SMEs in South Africa. There is a perception that, although SMEs are required to use IFRS for SMEs in South Africa, many of these entities are finding it difficult to adopt or implement the IFRS for various reasons including lack of the necessary expertise. The objective of the study is to establish, empirically, the reasons and, subsequently, to determine the attributing causes of the problem, if that was the case. The study is based on a sample of randomly selected number of SMEs in Vhembe district, Thohoyandou, Limpopo province, South Africa. The study findings show that many SMEs in Vhembe District (67%) have adopted IFRS for SMEs in various forms and degree, but, generally, SMEs still find challenges in implementation due to lack of resources. For compliance purposes, however, even those SMEs which have not substantially implemented the IFRS for SMEs are expected to prepare their financial statements by referring to the guidelines. Consequently, this raises a problem when comparing financial performance of various SMEs whose financial statements are prepared using different approaches. The study findings serve as a reminder to the accounting profession about the challenges that SMEs face when they attempt to adopt IFRS for SMEs

Pengaruh Konvergensi International Financial Reporting Standards (Ifrs) Terhadap Penghindaran Pajak(Tax Avoidance)

Kajian Bisnis STIE Widya Wiwaha ◽

10.32477/jkb.v26i2.276 ◽

2018 ◽

Vol 26 (2) ◽

pp. 158-169

Author(s):

Umi Wahidah ◽

Sri Ayem

Keyword(s):

Financial Reporting ◽

Tax Evasion ◽

Stock Exchange ◽

Control Variable ◽

Tax Avoidance ◽

Sampling Technique ◽

Reporting Standards ◽

Control Variables ◽

Financial Reporting Standards

This research aimed to examine the effect of the convergence of International Financial Reporting Standards (IFRS) on tax avoidance on companies listed in Indonesia Stock Exchange. Tax avoidance that used in this research was Cash Efective Tax Rate (CETR). This research is also use the control variable to get other different influence that different such as CSR, size, and earning management (EM. This research used populations sector of transport service companies that listed in Indonesia Stock Exchange. The data of this research taken from secondary data that was from the Indonesia Stock Exchange in the form of Indonesian Capital Market Directory (ICMD) and the annual report of the company 2011-2015. The method of collecting sample was purposive sampling technique, the population that to be sampling in this research was populations that has the criteria of a particular sample. Companies that has the criteria of the research sample as many as 78 companies. The method of analysis used in this research is multiple regression analysis. Based on regression testing shows that the convergence of International Financial Reporting Standards (IFRS) has a positiveand significant impact on tax evasion. This shows that IFRS convergence actually improves tax evasion practices. The control variables of firm size and earnings management also significantly influence the application of IFRS in improving tax avoidance practices, while CSR control variables have no role in convergence IFRS in improving tax evasion practice.